Overland Park, Kan.-Specialty fertilizer and salt producer Compass Minerals reported net income of $159.5 million ($4.81 per diluted share) for the year ending Dec. 31, 2008, on sales of $1.17 billion, compared to 2007’s $80.0 million ($2.43 per share) and $857.3 million, respectively. Fourth-quarter net income was $80.1 million ($2.41 per share) on sales of $388.3 million, versus the year-ago $50.4 million ($1.53 per share) and $326.1 million. “Our fourth quarter net earnings exceeded the combined net earnings for all four quarters in 2007, our full-year revenues exceeded $1 billion for the first time in the company’s history and our cash flow from operations more than doubled from 2007, enhancing our ability to execute our profitable long-term growth initiatives,” said Dr. Angelo Brisimitzakis, Compass president and CEO. Fourth-quarter fertilizer sales increased 47 percent to $57.8 million from the year-ago $39.4 million, while operating earnings more than tripled to $36.6 million from $11.3 million. Average selling prices were $975/st compared to the year-ago $341/st. Sales volumes were 59,000 st compared to the year-ago 115,000 st, reflecting the ongoing effects of the economy on agriculture. Full-year segment sales were up 71 percent, to $232.9 million from the year-ago $136.1 million, while operating earnings were up 231 percent, to $117.7 million from $35.6 million. Volumes were down at 391,000 st from 2007’s 423,000 st. Average prices were up at $596/st from $322/st. “Our specialty fertilizer segment was transformed during the year as strong market fundamentals allow for unprecedented price gains and margin expansion,” added Brisimitzakis. “As we begin 2009, specialty potash pricing has remained strong, though demand has continued to be soft, driven by the global financial and credit issues that affect the broader agriculture market.”
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